JPMorgan Lowers Stablecoin Market Forecast to $500B by 2028
JPMorgan now predicts the global stablecoin market will only reach $500 billion by 2028, a much lower estimate than others. They believe US dollar-pegged stablecoin adoption is limited, with 88% used for crypto trading and DeFi, and only 6% for payments. This shows stablecoins aren't yet integrated into traditional finance or ready to replace conventional money.
While the GENIUS Act might boost institutional interest by clarifying regulations, technical hurdles and conversion costs to fiat remain key obstacles. JPMorgan stays conservative, noting many countries are focusing on Central Bank Digital Currencies (CBDCs) for payment system modernization instead.